LO 6-5 6.46 Tests of Controls over Cash Disbursements. The Runge Controls Corporation manufactures and markets electrical control systems: temperature controls, machine controls, burglar alarms, and the like. The company acquires electrical and semiconductor parts from outside vendors and assembles systems in its own plant. The company incurs other administrative and operating expenditures. Liabilities for goods and services purchased are entered in a vouchers payable journal, at which time the debits are classified to the asset and expense accounts to which they apply. The company has specified control activities for approving vendor invoices for payment, for signing checks, for keeping records, and for reconciling the checking accounts. The procedures appear to be well specified and in operation. You are the senior auditor on the Runge engagement and need to specify a list of test of control procedures to evaluate the effectiveness of the controls over cash disbursements. Required: Using management's assertions over transactions as a guide, specify two or more tests of control procedures to audit the effectiveness of typical control activities. (Hint: From one sample of recorded cash disbursements, you can specify procedures related to several objectives. See Exhibit 6.9 for examples of test of page 266 control procedures over cash disbursements.) Organize your list according to the following example for the "completeness assertion. Test of Controls Completeness Assertion All valid cash disbursements are recorded and none is omitted. Determine the numerical sequence of checks issued during the period and scan the sequence for missing numbers